Utah Solar Guide 2026
Everything Utah homeowners need to know: costs, incentives, net metering policy, and what makes this state unique for solar.
Quick answer
Utah solar economics depend mainly on 5.5 average peak sun hours, an estimated $2.75/W installed cost, 11.0¢/kWh electricity, and the state's current net-metering rules.
Reviewed 2026-07-26
- Best for
- Utah homeowners comparing solar costs, incentives, and payback assumptions.
- Inputs needed
- annual kWh usage, utility rate, installed $/W, net-metering policy
- Formula used
- Typical production = system kW × peak sun hours × 365.
- Source checked
- state incentive data, utility tariff checks, Wattcrunch price benchmarks
Key fact about Utah solar
Utah's 5.5+ peak sun hours (comparable to Texas) and 25% state tax credit make solar attractive despite relatively low electricity rates. Salt Lake City and St. George are particularly strong solar markets.
Peak sun hours
5.5
hrs/day avg
Avg electricity rate
11.0¢
per kWh
Median install cost
$2.75/W
before incentives
Typical payback
11 yrs
8 kW system, avg usage
Typical 8 kW system in Utah
Annual production
16,060 kWh
Year-1 savings
$1,767
System cost (est.)
$22,000
No federal tax credit — Section 25D expired December 31, 2025.
Utah Net Metering Policy
Net billing (export at ~70% of retail)
Utah shifted from full retail NEM to net billing. Rocky Mountain Power credits exports at around 70% of retail rate. Despite lower export value, strong sun hours keep solar viable.
Utah Solar Incentives
Available in addition to any utility rebates. Federal 25D credit is $0 for homeowner-owned systems from 2026.
- ✓Utah Renewable Energy Tax Credit: 25% of cost (up to $2,000 residential)
- ✓Property tax exemption
- ✓Sales tax exemption
Top Utilities in Utah
Interconnection timeline: 4–8 weeks
State-specific decision guide
What to verify before signing a Utah solar quote
In Utah, the financial result depends on more than sunshine or the headline installation price. Confirm the export rule, program eligibility date, and interconnection timeline for your exact utility before treating a payback estimate as a promise.
Export value
This page models net billing (export at ~70% of retail). Ask which tariff and export credit apply to your account, not only which program name appears in the proposal.
Incentive eligibility
Check equipment, income, installer, application, and placed-in-service rules before subtracting an incentive from the quote. Programs can close or change terms.
Interconnection
Budget for the published 4–8 weeks and confirm who pays for a required meter, service upgrade, or engineering review.
Source trail: production assumptions use NREL PVWatts; incentive discovery should be checked against DSIRE; electricity-market context is available from the EIA. Confirm final tax treatment with the IRS and your utility.
Calculate your Utah solar economics
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